The Fenix Project is a large, world-class nickel mine and newly built power plant and metal processing facility (“ProNiCo”) in Guatemala. It boasts both proven and prospective reserves in the proposed mining area of 36.2 MM tons of nickel ore at 1.86% nickel. It has additional measured, indicated, and inferred resources within other licensed areas outside the current mining area of over 70 million tons. In August 2014, the ProNiCo plant began operation and is currently moving toward full operating capacity.

Since 2011, the Group has invested over US $600 million in the development of ProNiCo. Potential expansion options include the construction of the HPAL plant at the Fenix site to treat low-grade laterite reserves with nickel grade below the current cut-off grade of 1.6%.

The successful commissioning of ProNiCo in Guatemala represents a significant milestone in Solway’s strategy to become one of the world’s top five nickel producers. The Solway Group intends to complete the ramp-up phase by the end of 2016 and reach annualized capacity of 22,000 metric tons of contained nickel annually.

As a responsible employer and neighbor, Solway invests in the development of social infrastructure in its areas of operation in Guatemala. Building effective communications and providing support to local communities help to achieve this. Recently key activities focused on repairing municipal roadways and constructing a multipurpose community center. Social development projects included donations to local schools and pharmacies, supporting sports programs, and sponsoring training programs for local midwives and farmers. The Group’s primary focus is to minimize the environmental impact on the neighborhoods surrounding ProNiCo’s production facilities. Other environmental protection initiatives include: reforestation, fire prevention strips, water canal maintenance, and other programs to monitor air, water and soil quality, noise level, and local flora and fauna.

The Feniх mine and ProNiCo are the biggest local employers in the most economically distressed part of Guatemala and provide jobs for 1,770 employees and hundreds of local contractors.